Ampang – Making Headwinds in Development

Ampang - Making Headwinds in Development

Once a rustic enclave that was famous for tin mining, Ampang has matured over several decades to become one of the country’s most sought-after property markets. Kuala Lumpur’s infamous Middle Ring Road II (MRR2) divides Ampang into two distinct municipalities – the eastern side falls in the state of Selangor, whilst the western section falls under the jurisdiction of the Federal Territory of Kuala Lumpur.

Selangor’s section of Ampang boasts a vast residential populace of both landed and non-landed residential properties. Here you have luxury bungalows in exclusive areas such as the Ukay area, Taman Tun Abdul Razak and several other premier enclaves.

From a bird’s eye view, Ampang’s residential stock is massive. According to property consultants, Raine and Horne International, in the second quarter of 2015, planned supply of residential stock was 1,920, whilst those still under construction recorded 630 units and existing stock stood at 2,890. Despite these numbers, experts reveal that Ampang is not a saturated market and has a low to medium potential for growth.

The urban centre of Ampang is set to receive several upcoming luxury projects that include Bennington Residences @ Sky Arena, M-City, The Element @ Ampang, Picasso Residence, D’Rapport, Astoria, Arte+, and 3 Towers, among others.

Ampang is popular for its expatriate population as a result of the string of diplomatic corps in the vicinity, in the likes of Embassy Row, as well as the good number of multinational companies located in the nearby central business district of Kuala Lumpur. The expatriate population seems to remain stable and increasing in numbers, thus limiting potential growth to a modest rate.

 

Double-storey homes price range from 2013 to 2015

Data from iProperty.com’s iQ reveals that between 2013 and 2015, approximately 38.69% to 44.15% of home-owners were increasingly opting for 2-storey homes between the ranges of RM500,000 and RM700,000, whilst 17.02% to 27.80% of buyers were looking for houses ranging from RM700,000 to RM1 million.

On the more affordable segment, in these 3 consecutive years, buyers seeking houses ranging from RM300,000 to RM500,000 have shown a gradual decrease, at 24.45% in 2013, 19.66% in 2014 and 20.03% in 2015 . Those wishing to purchase homes priced at RM200,000 and below have also decreased over the years, at 3.28% in 2013, 2.0% in 2014 and 1.63% in 2015. 

Double Storey Properties Demand in Ampang from 2013 to 2015

 

Condominiums price range from 2013 to 2015

According to iProperty.com’s iQ, from 2013 to 2015, consumers seeking condominium units ranging from RM500,000 to RM700,000 gradually increased over 3 years, at 17.26% in 2013, followed by 17.36% in 2014 and 18.42% in 2015. Condominiums priced from RM700,000 to RM1 million also showed a steady upward trend starting with 14.59% in 2013, and then 14.49% in 2014 and a slight decline in 2015 at 17.09%. Percentages of those seeking to purchase properties ranging from RM1 million to RM1.5 million have also increased since 2013 at 7.53%, and have moved up to 11.05% in 2014 and 16.66% in 2015.

Home-owners looking for more affordable condominiums in the range of RM200,000 and below, have remained around 5% between 2013 to 2015, whilst those seeking units priced from RM300,000 to RM500,000 recorded a gradual decline from 33.43% in 2013, to 29.37% in 2014 and then 27.37% in 2015.

Condominium Demand in Ampang from 2013 to 2015

 

Promising outlook

With so much being said about Ampang, the fact remains that Ampang has many good things going for it – for one, its extensive amenities are a crowd-puller. These include KPJ Ampang Puteri Specialist Hospital, Gleneagles Intan Medical Centre, a host of international schools, premier shopping malls and lifestyle centre.

The outlook for Ampang is optimistic despite the notion that it is congested, the vicinity still has room for growth, especially with the considerably good infrastructure extending into various parts of Ampang from Kuala Lumpur’s city centre.

 

If you are interested to invest in Ampang, we would love to hear from you and introduce you to some of our recommended developers. Just fill up the form below and someone will get to you soon on your enquiry.

 

Happening Around Ampang Now

 
 
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